Nichols, the soft drinks manufacturer that owns the Vimto brand, has reported robust year-end results with growth in both its International and UK businesses.
Total revenue increased by 3.5% to £147.0m with pre-tax profit up 2.1% to £32.4m.
UK sales grew by 2.5% to £117.5m. Vimto brand sales increased by 0.8% against tough comparatives with the previous year (2018: +12.9%). Nichols stated that this performance was primarily driven by the Still category where sales of Vimto dilutes grew by 15% and continued to gain market share.
Elsewhere in its UK business, Out of Home sales increased by 8% to £45.5m and now contribute 31% of group revenue. This increase was largely driven by the acquisition of one of its post mix and coffee distributors (Adrian Mecklenburgh Limited) and the growth of frozen beverages into the cinema channel.
International sales grew by 7.5% to £29.5m. In its African markets, revenues were £13.0m compared to £13.6m in the prior year. Sales to the Middle East grew by 20.6% to £11.6m against softer prior year comparatives. Within the region, it achieved our best ever sales performance of the Vimto brand during Ramadan 2019.
Elsewhere in International regions, there was good growth in the USA, which is primarily a Stills market (+23.1% to £1.4m) and Europe which is primarily a Carbonate market (+5.2% to £3.3m).
“The Group’s performance demonstrates the strength of our diversified business model, which provides a strong platform to deliver continued growth,” said Chairman John Nichols.
